Posted on 11/20/2006 11:25:43 AM PST by Toddsterpatriot
"If I lived in the midwest. I would sell now and consider renting for a few years."
Interesting. And what would you base that on? As I stated my 2100sq ft home on 1/3 of an acre is valued at roughly $200k. If I take a 10% hit in valuation, the tax advantages and creature comforts make up for it. I don't really begin to hurt until I lose -15% or more, assuming I was selling at that point.
Honestly, I can't imagine our home prices falling much because we didn't go through the hyper appreciation that other areas did. My previous home, I bought for about $70k, after 17 years, and many renovations, I sold it for $140k.
I think here in the midwest we're stable, and relatively safe. We just don't have the opportunity to buy and then sell at a huge profit.
I base my opinion on the soft jobs market. Specifically in Michigan and Ohio. Between repo's and the elderly, who are dying off or moving into assisted living facilities, there will be a glut of homes on the market in the midwest.
If that's not bad enough, a lot of boomers are retiring, or thinking about retiring and many are moving to more desireable locations, the Carolina's, Texas, or the Northwest.
I would not be shocked to see home values in your area decline 5-15% every year for the next 3+ years.
Therefore, if I was a homeowner in Ohio, I would absolutely sell and rent, ASAP.
Yup, prices in Greensboro where I live have gone up but not outrageously. 2200 Sq ft brand new townhouse with a great warranty in the nice NW part of town I bought almost 2 years ago for 155k is now ~170k (neighbor with the same unit just sold his 2 weeks ago for 172). Most of the smaller townhouses (1400-1600) haven't gone up much at all in that time frame. There were just very few 3 level ones built like that one I have which I think has raised the price more than otherwise. 170k for 2200 sq ft place less than 2 years old in the nice part of town is cheap compared to the great majority of the country.
I was thinking of perhaps relocating to Greensboro.
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